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ADNews-International: As Liberia weighs a revised mineral development agreement with ArcelorMittal, its expanding list of controversies across Europe, Asia, and Africa is prompting renewed calls for caution.
ArcelorMittal, which has operated in Liberia for nearly two decades, manages the country’s most strategic infrastructure corridor and is one of its largest private employers, but the company’s record at home and abroad raises serious concerns about governance, transparency, and long-term viability.
In Liberia, the company has been faulted for environmental violations, slow delivery of promised community infrastructure in Nimba, Bong, and Grand Bassa counties, and persistent opacity around profit declarations and tax contributions. Community leaders have also complained that the firm frequently favors foreign personnel over qualified Liberians. A series of train derailments in recent years has further intensified scrutiny of its rail operations.
These concerns mirror challenges emerging across ArcelorMittal’s global operations.
In Italy, state-appointed commissioners are seeking €5 billion in damages for what they describe as a “state of complete disrepair” at major steel plants previously overseen by the company. Authorities there have launched an emergency maintenance plan to stabilize the facilities and prepare them for new ownership.
In France, lawmakers recently approved a symbolic motion to nationalize the company’s operations amid rising political frustration. French labor unions warn that declining sales, abandoned projects, and uncertain climate-transition plans are contributing to worsening instability in the steel sector.
Across the African continent, ArcelorMittal is facing backlash as well. In South Africa, the company has announced the shutdown of its Newcastle steel plant and plans to close another facility in Vereeniging, moves that could wipe out nearly 4,000 jobs. In the United Kingdom, 85 workers at the company’s Chatham Docks site were informed they may be laid off just weeks before Christmas.
Meanwhile, in India, a joint venture partly owned by ArcelorMittal chairman Lakshmi Mittal has come under scrutiny after the Financial Times reported that the refinery purchased Russian oil transported on sanctioned vessels. Satellite imagery, shipping logs, and customs records show the refinery received at least four shipments worth nearly $280 million in 2024.
Despite these controversies, ArcelorMittal’s stock price has surged to a 52-week high, a trend that underscores a wider pattern: communities suffer the consequences of cost-cutting and operational failures while global shareholders remain insulated.
Liberian analysts argue that the international record should serve as a warning as the government negotiates future oversight of the Yekepa-Buchanan railway and mineral rights.
Stakeholders are now pushing for tougher provisions in the revised concession, including stronger environmental protections, transparent revenue reporting, and enforceable commitments to community development.
As Liberia prepares for the next phase of negotiations, many warn that the country’s long-term interests depend on a model in which multinational companies demonstrate measurable accountability and respect for local communities.
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